On April 9, 2007, the Registrant announced that on April 4, 2007 the Board of Directors, acting upon the recommendation of the Audit Committee and management, concluded that the Registrant’s previously issued, consolidated financial statements relating to the fiscal years 2004, 2005 and 2006 and the three months ended October 31, 2006 contained in the Registrant’s filings with the SEC, including related reports of the Registrant’s independent, registered public accounting firm, Deloitte & Touche LLP, and press releases, should no longer be relied upon.

Upon completing their investigation, the Audit Committee’s independent advisors presented the findings and recommendations of the investigation to the Registrant’s Board of Directors on April 17, 2007 and April 30, 2007 and to the SEC staff on May 4, 2007. The Audit Committee’s investigation confirmed the Registrant’s determination that income before income taxes recorded by Dutchmen was overstated in the amount of approximately $26,000,000 in the aggregate from fiscal year 2004 to the second quarter of fiscal year 2007, as a result of misconduct by Dutchmen’s former Vice President of Finance, the senior financial officer of Dutchmen, by which he intentionally understated the cost of products sold. Dutchmen’s Vice President of Finance manipulated accounts reflecting inventory, accounts receivable, accounts payable, and cost of products sold, by entering and approving his own inaccurate journal entries as well as reconciling the related accounts, and prepared fraudulent supporting documentation, with the net effect of overstating Dutchmen’s income before income taxes by approximately $26,000,000 during the relevant period. The Audit Committee’s investigation found no evidence to conclude that anyone else, at Dutchmen or elsewhere in the Company, knew of or participated in this misconduct or that there was theft or misappropriation of company assets. The Audit Committee’s investigation also identified issues with respect to internal controls at Dutchmen, certain of the Registrant’s other operating subsidiaries, and the Registrant’s corporate finance and accounting office.

The Registrant has restated its previously issued financial statements as of July 31, 2006 and 2005, and for each of the years in the three-year period ended July 31, 2006, and the financial results in each of the quarterly periods in 2006 and 2005, and the financials statements as of and for the three months ended October 31, 2006. The restatement followed the Registrant’s evaluation, considering the results from the Audit Committee’s investigation, of accounting practices employed at Dutchmen during these periods.

The restated financial statements as of July 31, 2006 and 2005, and for each of the years in the three-year period ended July 31, 2006, and the financial results in each of the quarterly periods in 2006 and 2005, are reported in the Registrant’s Annual Report on Form 10-K/A filed on June 11, 2007. The restated financial statements as of and for the three months ended October 31, 2006 will be reported in the Registrant’s Quarterly Report on Form 10-Q/A which will be filed on or about June 12, 2007. The Registrant’s Quarterly Report on Form 10-Q for the six months ended January 31, 2007 will be filed as soon as reasonably practicable thereafter.